Mike Kehoe Archives - Missourinet

Gov. Nixon vetoes bill to allow sale of alcohol in State Capitol, historic penitentiary

July 10, 2014 By Mike Lear

Governor Jay Nixon (D) has vetoed a bill that would allow alcohol to be sold at events in the State Capitol and the historic Missouri State Penitentiary.

Governor Jay Nixon says events in the State Capitol should not include the selling of alcohol. (photo courtesy; Tim Bommel, Missouri House Communications)

Supporters said the bill would allow the Missouri Capitol Commission to include alcohol sales at celebrations of the laying of the cornerstone of the capitol and the state’s Bicentennial, and would help generate revenue for the restoration and maintenance of the Capitol. Other events held at the retired State Penitentiary would further the effort to draw tourism to the prison and Jefferson City.

Nixon says he disapproves of the bill because he wants children and families to continue to be comfortable visiting the Capitol.

“They do not come to see the sale of liquor by the drink,” writes Nixon. “Moreover, they introduction of alcohol sales in the Capitol is particularly troubling because the bill does not restrict sales in the presence of minors, nor does it limit sales to certain hours of operation.”

Nixon continues, “The additional revenues for Capitol restoration and maintenance that proponents assert would result from House Bill No. 1359 becoming law are outweighed by the message it sends to children and families. We should not sell alcohol in the Capitol.”

The bill cleared both the House and the Senate with enough votes to overturn a veto, if such an attempt is made in September’s veto session and if enough lawmakers vote the same way.

Public perception of MODOT could be key in sales tax increase’s fate

May 27, 2014 By Mike Lear

Whether Missouri voters approve or reject a proposed three-quarters-of-one-cent sales tax increase to support transportation could have a lot to do with their memories going back about 22 years.

Senator Mike Kehoe (R-Jefferson City). Photo courtesy, Missouri State Senate Communications.

In 1992, the 15-year highway plan was enacted that included making all highways to towns of 5,000 people or larger four-lanes and a widening of Interstates 70 and 44 to six lanes. Six years later the plan was scrapped. The Missouri Department of Transportation later said it had been based on cost estimates that were too low, project inflation and growth weren’t accounted for and it planned on expending more money than was projected to come in.

The plan’s failure was blamed for the rejection by voters in 2002 of a $500-million transportation tax increase. Then in 2004 Missourians approved Amendment 3, shifting all revenues from the motor vehicle fuel tax to state and local highways, roads and bridges. The Department went to work on projects throughout the state and its public perception has improved.

Senator Mike Kehoe (R-Jefferson City) joined the Highways and Transportation Commission in 2005 and later became its chairman. He says perception was on the mind of Governor Matt Blunt (R) when Kehoe was appointed.

“One of the first things Governor Blunt went out and said was, ‘You need to try to work with some of our rural groups and tell them about the 15-year plan,” says Kehoe. “I said well that’s simple. MODOT screwed up. They didn’t do the right thing. They didn’t fulfill their commitment.”

Kehoe says the Commission and the Department, then directed by Pete Rahn, were committed to improving on the earlier failure and winning back the trust of the public. He says in partnership with contractors, they were able to do that.

Now it is that success that he says could help supporters of the transportation tax proposal sell it to voters between now and August 5.

“MODOT wants to take that reputation, said, ‘We messed up once in ’92. You told us we messed up. We listened. We got a second chance in ’04 with Amendment 3, and now we want to move forward under that same trust and relationship that we’ve built with you, Missouri, and deliver projects to you again,'” says Kehoe.

Listen to Kehoe discuss how the perception of MODOT since Amendment 3 relates to the proposed tax increase

Governor Jay Nixon (D) on Friday announced action to put that proposed constitutional amendment on the primary ballot along with four other proposed amendments. The plan would generate an estimated $534-million a year for ten years to support roads and bridges and other transportation infrastructure in Missouri.

Senate sponsor OK with transportation tax on August ballot

May 26, 2014 By Mike Lear

The Senate sponsor of the proposed three-quarters-of-one-cent sales tax increase to benefit transportation doesn’t think it makes much difference that Governor Jay Nixon (D) has put it on the August primary ballot rather than the November ballot.

Senator Mike Kehoe (R-Jefferson City) says the shorter timeframe does leave supporters less time to make their case to voters, but it won’t change the issue.

“The problem hasn’t gone away,” says Kehoe. “No matter what date we have it on the ballot, the issue of repairing our roads, safety for our citizens, economic development and the jobs these projects can create, and the ripple effect on our economy is still a significant question.”

Another issue that has Nixon has put on the August ballot is the so-called “right to farm” amendment to the Missouri Constitution. Kehoe thinks that could be a good pairing.

“Rural Missourians understand that one of the ways that we can improve the safety on our rural roads is by making sure that the Department of Transportation has significant projects,” says Kehoe. “The same people that support the Right to Farm amendment may see this as a significant option to choose in order to protect our agricultural industry, so I’m hoping those two actually could compliment each other.”

Missouri Republican Party Executive Director Matt Wills notes his party’s supporter tend to turn out strongly in primaries, and they traditionally oppose tax increases. He thinks that could be what Nixon is banking on.

“I think placing it on the primary ballot, the Governor really looks at it saying, ‘Well, Republicans will turn out to defeat this and it doesn’t hurt Democrats because it’s a ballot initiative, but Republicans in the legislature will look bad for putting up a tax increase that gets defeated by their own party,'” says Wills. “I don’t really think that is sound logic.”

The proposed transportation tax would generate an estimated $534-million annually for ten years before automatically going back in front of voters who could consider its renewal.

Nixon announced on Friday action to have that and the “right to farm” issue decided in August as well as a proposed amendments to create a new lottery ticket with proceeds benefitting Missouri veterans, to protect against searches and seizures of electronic communications and data, and to make the right to keep and bear arms in Missouri an unalienable right that must be upheld by the state.

Maj. Floor leader: Dems unlikely to get the Medicaid expansion vote they want

May 12, 2014 By Mike Lear

The Majority Floor Leader in the House says the chamber’s Democrats have already had what they say they want, before they will vote for a transportation sales tax increase.

House Majority Floor Leader John Diehl (Photo courtesy; Tim Bommell, Missouri House Communications)

House Majority Floor Leader John Diehl (Photo courtesy; Tim Bommel, Missouri House Communications)

House Minority Leader Jake Hummel (D-St. Louis) told Missourinet that his caucus wants a vote on Medicaid expansion before any of its members would vote on the proposed three-quarters-of-one-cent sales tax increase to support transportation.

Democrat support is expected to be needed in order for the transportation tax proposal to pass.

See earlier story

Representative John Diehl (R-Town and Country) says they’ve already had one, during debate on the budget.

“We allowed the Democrats to offer a Medicaid expansion amendment,” says Diehl. That amendment was offered during debate of the Department of Social Services budget. It was defeated 50-98.

Diehl did not say whether that legislation would be brought to a vote in this final week of the session. The Senate changed the bill to the three-quarters-of-one-cent proposal from the one-cent proposal that the House previously passed. The House has not officially acknowledged the Senate vote.

Of the possibility of the House holding a vote on Medicaid expansion to meet Democrats’ demands, Diehl says he, “can’t see that happening.”

House Democrats want Medicaid expansion vote before they’ll vote for transportation sales tax hike

May 9, 2014 By Mike Lear

The Missouri House Democrats’ leader says they’re angry about the veto override on a tax cut bill, so much so that they won’t vote for a proposed sales tax hike to support transportation if the Republican House Majority doesn’t bring Medicaid expansion up for a vote.

The situation raises doubt about the fate of the three-quarters-of-a-cent transportation tax that had seemed likely to pass.

The House on Tuesday completed a legislative override of Governor Jay Nixon’s (D) veto of the tax cut legislation, SB 509, that he and House Democrats said was unnecessary and “dangerous,” and puts funding for state programs and services like education in jeopardy. All 108 Republicans in the House voted for the override along with one Democrat, Keith English (Florissant).

“I think right now the caucus feels that it’s awfully hypocritical to be asking for a tax increase when we’ve just cut taxes,” says Minority Floor Leader Jake Hummel (D-St. Louis).

34 House Democrats voted for the transportation tax, HJR 68, when it cleared the House, while 38 Republicans voted against it.

“They have to have our votes to pass it,” says Hummel. “If they’d like to give us a vote on Medicaid maybe we can talk about that.”

Hummel says it is time for Medicaid expansion to be brought to a vote on the House Floor. Last year a bill was debated in the House but withdrawn without a vote.

“If the majority [Republicans want] to vote it down that’s fine, but give us the opportunity,” says Hummel. “This is such a huge coalition across the state. Just give us … give everybody … a chance. Give them a vote. What are [Republicans] worried about? That they don’t have enough people to vote it down?”

House Speaker Tim Jones (R-Eureka) says he had not heard of the Democrats drawing the connection between the transportation sales tax and Medicaid prior to speaking to Missourinet.

“I don’t really see the connectivity between the two,” says Jones, “My gut reaction would be the caucus would not be much interested in a deal of that sort.”

If Republican leadership decides to put Medicaid expansion to a vote, there are some bills that could be potential vehicles for it. Two Senate bills, SB 504 and SB 754, are on the list of Senate Bills ready to be passed out of the House that relate to health care or insurance coverage. Those could potentially have Medicaid language amended to them before a vote.

Another bill, SB 524, was amended in a House Committee to include Medicaid expansion language in an effort led by Representative Chris Molendorp (R-Belton), who has been supportive of expansion. His position has put him at odds with most of his fellow Republicans. Molendorp called the vote, “symbolic,” but the bill could be brought to the floor in the final week.

“It’s that time of year when there are a lot of issues that aren’t related at all that kind of get thrown into the same pot for people to start picking and choosing … they’ll support this if you’ll support that,” says Senator Mike Kehoe (R-Jefferson City), the sponsor of the transportation sales tax bill in the Senate. “It doesn’t surprise me that there are people trying to tie one thing to another.”

Kehoe says he will spend time this weekend talking to legislators about moving the transportation tax forward. It also has labor support, including from the Laborers Union of Missouri and the United Transportation Union, who testified for it during a House hearing in February.

Hummel says he knows there is union support for the tax, and a need for funding for infrastructure improvements.

“I don’t think a lot of us are happy at what the funding mechanism is for this,” says Hummel. “I’d love to get some kind of compromise between the tax and Medicaid, but just have to see how it goes.”

The proposal was to raise the sales tax one percent for transportation when it left the House but the Senate changed it to the three-quarters-of-a-cent plan. If it is passed by the legislature it would go to voters in November or at a special election to be called by the governor.

Proposed tax increase for transportation considered in House committee

February 5, 2014 By Mike Lear

Those for and against asking voters for a temporary increase in the state sales tax to support transportation have made their cases to a House Committee.

Representative Dave Hinson (photo courtesy; Tim Bommel, Missouri House Communications)

Even those who oppose a one-percent increase in the state sales tax to support transportation told a House Committee they understand that the Transportation Department needs more money.

Read the proposal, HJR 68

Richard Sheets with the Missouri Municipal League says his members are concerned that a higher sales tax would make it harder to pass or renew local taxes.

“Many of the funds that cities use … the capital improvement sales tax … are sunset. They’re based on particular projects so they come back before the voters,” explains Sheets. “As the sales tax increases, my members concerns are that those issues would not prevail at the ballot.”

Jeanette Mott-Oxford with the Missouri Association for Social Welfare says she offered better solutions when she was a state legislator.

“For the 20-percent of Missourians that have household incomes of less than $17,000 a year, their total tax share is 9.6 percent of their incomes now,” Mott-Oxford says. “Part of that is sales tax, part is property tax, part is income tax, part is excise taxes … the full range of what we do. They have no discretionary income. They have a lot of month left at the end of their paycheck … they would really feel this increase.”

Supporters argue that the same low-income Missourians will be impacted no matter how the state looks to generate more transportation dollars.

Transportation Department Director Dave Nichols testified in support of the proposal. He tells lawmakers its proceeds would not be limited to funding roads.

“Missourians all across the state, whether you’re in a rural area or an urban area, have told us that we need to have dedicated state funding for other modes of transportation,” says Nichols. “This solution that Representative (Dave) Hinson has brought to you today has that built-in … that there are dollars that can be used for any transportation purpose in our state.”

Senator Mike Kehoe (R-Jefferson City) told Missourinet earlier this week supporters of the tax have found costs too high to pursue a petition campaign. See that story here.

Agreement announced between Jefferson City, State on use of historic prison

November 6, 2013 By Mike Lear

Governor Jay Nixon has announced an agreement between the State and Jefferson City that aims to reopen the historic Missouri State Penitentiary to tours by spring, and a potential long-term agreement between the city and state for use of the prison site.

Governor Jay Nixon (at podium) announces an agreement on the use of the Missouri State Penitentiary, joined by (from left to right) Office of Administration Commissioner Doug Nelson, Jefferson City Mayor Eric Struemph and State Senator Mike Kehoe.

Tours of the decommissioned prison were halted in September when excessive levels of mold were recorded. The agreement would cover renovations of four buildings deemed historic, Housing Units 1, 3, 4 and the Gas Chamber, to stop further mold development plus remediation of the mold that’s there, up to a cost of $2-millon split evenly between the City and the State.

Nixon anticipates a quick turnaround on the work.

“The goal is to begin tours once again in the spring,” Nixon said.

The State’s share comes from funds already budgeted for facilities maintenance and repair. The City would spend money out of a capital improvement half-cent sales tax passed several years ago intended for projects including development in and around the prison.

The Jefferson City Council must still vote to approve the expenditure. That vote will happen at a special meeting tomorrow night at 5:30 at City Hall.

Nixon says this use of state money is justified to bolster Missouri tourism.

“The Missouri State Penitentiary is an iconic Jefferson City landmark that attracts thousands of visitors each year. While they’re here these visitors eat in our restaurants, shop in our stores and explore the other outstanding attractions in the area creating jobs and generating economic activity throughout the region.”

He also defended having Jefferson City expend money on a state-owned property.

The agreement could allow the city to continue tours at (left to right) Housing Units 1, 3, 4 and (not pictured) the Gas Chamber for the next 25 years. (Photos courtesy: Jefferson City Convention and Visitors Bureau)

“I think that with the economic benefit that the City will see and the clear marketing strategy that the City and the (Jefferson City Convention and) Visitor’s Bureau have already laid out, that this is one in which we wanted to be helpful with them … we just think this is the best way for us to be responsible stewards of the dollars but to work with the Capital City here.”

The Council will also vote on, and the Governor also announced, a 15-year use agreement governing the management of the site that could be extended twice for 5 years each.

That agreement would allow the City to continue tours of the historic prison, to establish a museum, gift shop and coffee bar in the 145-year-old Housing Unit 4, to hold social gatherings and events at the site and to allow film or video requests. The agreement states that “public tours shall emphasize and focus on the historic nature of MSP.”

Under the agreement the City will cover expenses with the proceeds from tours and other events at MSP and use the remaining income to make repairs and improvements to the site, as approved by the state’s Division of Facilities Management, Design & Construction.

See a copy of the proposed agreement between Jefferson City and the State of Missouri

Office of Administration Commissioner Doug Nelson explained that roof repair, window repair and then remediation of the site will begin quickly. He tells Missourinet, “We are in the process right now of finalizing our testing and we should have those results hopefully even this week, and then the plan is to go out to bid and move forward with the construction phase … once the buildings are encapsulated and the weather stays out of them, the final phase will be remediation and then we’ll be good to go.”

Visitor’s Bureau Director Diane Gillespie was visibly relieved by the announcement. She took in January her position at the Bureau, which has been conducting tours of the site since 2009.

She says, “It’s the first step. We still have a lot of process to go through … but we’re all talking. We’re all sitting down working together.”

She doesn’t know when the Bureau will begin booking more tours for 2014. She says, “The next step is to sit down and try to put a timeline together as to will we be ready to go in March, which is normally when our tour season starts. March is always kind of an iffy month for us because of the weather so if it’s April, then we’ll take April.”

Nixon credited Senator Mike Kehoe (R-Jefferson City) with persistence and hard work in bringing State and city officials together on the issue. Nixon said of Kehoe, “When a lot of folks point fingers in public service and find excuses to not get things done, Senator Kehoe is a fine example of somebody who likes to get things done.”

Representative Jay Barnes (R-Jefferson City) couldn’t be at the hearing while the committee on Medicaid that he chairs was meeting. He tells Missourinet, “I think it’s a great step forward for the City of Jefferson and the State of Missouri. I’m hopeful that we can get things fixed.” He called the pending agreement, “Good for the entire state.”

Sponsor: legislature won’t try to override Governor’s veto of use tax bill

April 19, 2013 By Mike Lear

For the second straight year, Governor Jay Nixon has vetoed a bill to address the charging of taxes on vehicles purchased out-of-state.

Senator Mike Kehoe (R-Jefferson City). Photo courtesy, Missouri State Senate Communications.

Nixon says Senate Bill 182 doesn’t give voters the opportunity to address all the changes that would make in local and state taxes they have to pay. The bill’s sponsor, Senator Mike Kehoe (R-Jefferson City) says he’s disappointed with the Nixon Administration’s assessment.

“We presented them with many versions of this bill that just didn’t come out earlier. I’m not an attorney but other folks who have looked at this feel like their concerns are addressed in other areas of the bill, so it certainly wasn’t an intentional thing.”

See the Governor’s veto message.

Though Kehoe’s Republican party has a supermajority in both the House and the Senate, he says a veto overturn will not be attempted.

“I’m going to do what I think is best for Missouri small businesses and municipalities, and I think that’s not let this get caught up in politics, which, sometimes a veto override can get very political. The Governor’s office has promised they would give us some suggested language to ease their concerns by Monday. I’m going to incorporate those changes and then find a bill that’s moving … a vehicle, if you will … that’s moving somewhere where those changes will fit on and try to get it [passed this session].”

He thinks it’s important the issue be resolved this year.

“Every day that goes by, we’re losing sales to competing states. Municipalities are losing tax revenues, and the more that sales start to go to other states, the jobs will follow, and so it’s very important.”

Kehoe thinks there is enough support to get the legislation through again. SB 182 passed the Senate unanimously and passed out of the House 123-32.

House holds first hearing on proposed bond issuance (AUDIO)

February 6, 2013 By Mike Lear

The Committee that will put together the state House’s version of a bonding proposal has heard its first testimony.

From right, the new House Appropriations Committee on Infrastructure and Job Creation’s Chairman Chris Kelly and Vice-Chairman Lincoln Hough listen to the committee’s first testimony. (Photo courtesy; Tim Bommel, Missouri House Communications.)

The proposal, HJR 14, has been introduced at $950 million dollars and is described as identical to one introduced in the Senate by Senator Kurt Schaefer (R-Columbia). Lawmakers say that figure could change however, either higher or lower.

The measure is sponsored in the House by Speaker Tim Jones (R-Eureka), who says it will change dramatically before it goes before voters.

“This is simply a starting off point. I’m sure this bill will undergo a lot of different changes and revisions throughout the process. We will have to marry it with whatever comes out of the Senate, so I would ask everybody to keep an open mind and be patient as we work through this. This is an extremely critical opportunity for our state but it is one that I think could result in a really bold and bright future for Missourians.”

Mental Health Department a no-show

In talking about possible targets for proceeds from a bond issuance, Jones, Governor Jay Nixon, Committee Chairman Chris Kelly (D-Columbia) and others have all said Fulton State Mental Hospital is likely to be included. Yet at Tuesday’s hearing the agency that oversees that facility, the Department of Mental Health, was not present as scheduled.

Kelly says he is disappointed the Nixon administration did not see fit to discuss the needs at Fulton, but says the no-show doesn’t hurt that hospital’s chances to be a priority.

“We all know the need is there, and it’s ridiculous to think about punishing the mental health patients because the administration doesn’t articulate it.”

Lawmakers will have to come to agreement on how much to spend on Fulton. Some have said a total replacement is needed, while others say that probably won’t happen.

It is estimated that a new mental health facility would cost about $211 million. The current language of the proposal says no more than $250 million will be used for construction of state buildings and $40 million of that must be used for parks and park facilities.

Mixing transportation with other needs

The hearing was held on the same day that a 10-year, one-cent sales/use tax proposal was introduced by Senators Mike Kehoe (R-Jefferson City) and Ryan McKenna (D-Crystal City) and Representative Dave Hinson (R-St. Clair) to support transportation. Kelly hopes the two issues can compliment each other.

“I believe that ultimately we can only have one proposal and I hope we find a way to comfortably combine the highway proposal and the general revenue proposal, and I believe we can do that.”

Jones says the two discussions could become one, but says he would rather see a revenue-neutral option to support transportation. Some transportation projects could also be included in the bond package.

Much of the testimony came from some of the state’s colleges and universities, who told the committee how great their backlog of needs has grown.

University of Missouri System President Tim Wolfe testifies on HJR 14, sponsored by House Speaker Tim Jones (right). (Photo courtesy; Tim Bommel, Missouri House Communications.)

University of Missouri System President Tim Wolfe tells lawmakers, his campuses could use all the $950 million being considered, and more.

“Because we’ve been chosen to invest scarce resources in mission-critical areas like education today we have a $1.3 billion backlog of renovation and repair projects on all four of our campuses.”

Wolfe says state support from the bonding package would encourage donors to the University system to accelerate their investments.

Missouri Parks Association board member Mike Sutherland told the Committee there are about $400 million in capital improvement needs at the state’s parks and historic sites.

Kelly cautioned those at the hearing that no one will get everything they want.

“Every single one of us will be disappointed, but every single one of us will also be delighted. There’s no way that we can do everything that we need to do but we can do some very good things and move our economy forward.”

See our earlier stories on bonding in the 2013 session.

No one testified against the proposal, which Vice-Chairman Lincoln Hough (R-Springfield) says shows there is bi-partisan support across the state for the issuance of bonds. One urged lawmakers to make sure to identify cost savings or a new revenue source to fund the debt service on bonds, to protect other state services like K-12 education, higher education and public safety.

Jones told the committee taxpayers will be protected under the proposal.

“By specifying that the proceeds from the sale of the bond can be only used for projects that meet the criteria of this legislation. Most notably that criteria will first be established by this committee. Additionally the revenue placed in the Fifth State Building Fund, as we’re commonly referring to this bill, can only be used to pay off the principal and interest of the bond.”

He encouraged the committee to investigate a “more official mechanism,” a sort of “taxpayer watchdog,” to watch the projects as they move forward.

As for when the bond proposal might be ready to go to voters, Kelly says he would like to see it done this year but says it’s an “organic” process. Jones says he knows development will take time.

“I am under no delusions that this is going to be an easy process, so I start with the premise that this may be a 2-year project.”

AUDIO: House Speaker Tim Jones presents HJR 14, Missouri Fifth State Bonding Issue, 6:38

AUDIO: University of Missouri System President Tim Wolfe testifies on HJR 14, 6:30

Lawmakers will debate including transportation in a bond proposal

December 18, 2012 By Mike Lear

More than one bond proposal will be debated in the state legislature in the session that begins in three weeks. The list of projects those would fund has not been determined, and some supporters want it to include some highway and bridge work.

Senator Mike Kehoe (R-Jefferson City). Photo courtesy, Missouri State Senate Communications.

Senator Mike Kehoe (R-Jefferson City) is the vice-chairman of the Senate Transportation Committee. He says the costs of transportation are too high to include in those proposals, that would ask Missourians to approve the sale of $950 million in bonds.

“The resources contained within the bond dollar amounts … that they’ve filed could be more appropriate and a better value if we concentrated that more on structures.”

Kehoe says other ideas are being floated that could benefit the state’s highway system.

“Senator (John) Lamping has filed a tax reform package and part of that package is going to include language in it that would potentially look at some type of sales tax increase with an offsetting taxpayer refund, so that would keep it cost-neutral to the citizens. There is an independent group, Missouri Transportation Alliance, who have worked very hard in the state for the last several years that are proposing a couple of the other different options for Missourians to look at as far as funding or resources for transportation.”

Kehoe says now is a good time for passage of a new funding plan for roads, bridges and railways for the same reason bonding issue proponents say the time is right to approve those: interest rates on money are at an all-time low.

He wants to see a plan approved that will provide stable, long-term funding and hold the Department of Transportation accountable.

“I would prefer a plan that has something that meets the needs of the transportation system that has some type of sunset mechanism so that citizens can feel like there’s an opportunity to check in every so often and make sure that the dollars that they devote to transportation and infrastructure are being spent wisely, and that the projects are being done according to the time and budget needs of the various communities.”

Kehoe adds, Missouri could soon have to put up more money to keep getting its current level of federal money.

“The newest (federal) reauthorization bill has some trigger mechanisms in it where the State of Missouri’s match to get some of the federal dollars is going to continue to go up a little bit, so three and four years from now, just our match to get to the dollars that we get from the feds today is going to become significantly higher.”

The session begins January 9.

AUDIO: Mike Lear interviews Mike Kehoe, 9:10